Degroof Petercam cuts Melexis on shrinking market share

Melexis NV

17/09/2025 09:44

** Degroof Petercam downgrades Belgian chipmaker Melexis MLXS.BR to "reduce" from "hold", saying the company's strategy has led to market share losses

** According to the brokerage's analysis, which includes four new fabless competitors, Melexis' market share has dropped to 1.8% recently from 2.5% in 2016

** The broker notes Melexis is failing to capture opportunities in faster-growing segments, as it has not stepped outside its traditional automotive sensor market

** This static approach has resulted in the company being overtaken by peers on gross margin, operating margin, and returns on capital since 2018, the brokerage adds

** Out of 12 analysts that cover Melexis, seven rate the stock "strong buy" or "buy,"​ four rate it "hold" and one rates the stock "sell" - LSEG data

 (Reporting by Hugo Lhomedet)

 ((hugo.lhomedet@thomsonreuters.com))